Selective minimum wage increases in 10 provinces

[reader]

Why just 4-star hotels?

From Thai PBS World

Thailand’s Wage Committee decided today to increase minimum wages to 400 baht for employees working in 4-star hotels which have at least 50 employees, located in specific areas in 10 provinces, effective from April 13^th.

The specific areas are:

• Bangkok: Only for hotels located in Pathumwan and Wattana districts.
• Krabi province: Only in areas under the jurisdiction of Ao Nang Tambon Administrative Organisation.
• Chon Buri province: Only in Pattaya City.
• Chiang Mai: Only in Chiang Mai municipal area.
• Prachuap Khiri Khan: only in Hua Hin municipal area.
• Phang-nga: On in Kirk Kak municipal area.
• Phuket province.
• Rayong: Only in Ban Phe sub-district.
• Songkhla: Only in Hat Yai municipal area.
• Surat Thani: Only on Koh Samui.

The Wage Committee said that the tourism industry is important to the Thai economy and the ten provinces have earned substantial revenues from tourism, adding that its decision is based on the opinions of all stakeholders, especially those of employers and employees in the hotel sector.

[unicorn]

3 hours ago, reader said:

Why just 4-star hotels?

...Thailand’s Wage Committee decided today to increase minimum wages to 400 baht for employees working in 4-star hotels which have at least 50 employees...

How many 3* hotels have 50+ employees? To have that many employees, you'd probably need various amenities, probably only provided for by 4* hotels.

[reader]

From Pattaya Mail

Minimum wage hike sparks debate in Thailand’s hospitality sector

PATTAYA, Thailand – The recent decision by the 22^nd Wage Committee to increase the minimum wage to 400 baht per day for employees in 4-star hotels and above in ten provinces renowned for their tourism revenue has sparked debate within Thailand’s hotel sector.

Effective from April 13, the wage hike aims to establish fairer standards for workers in the hospitality industry, particularly in areas heavily reliant on tourism. The affected provinces include Bangkok (specifically the Pathum Wan and Wattana districts), Krabi (only Ao Nang sub-district), Chonburi (specifically Pattaya City), Chiang Mai Municipality, Prachuap Khiri Khan (only Hua Hin), Phang Nga (only Khuekkhak), Phuket, Rayong (only Ban Phe sub-district), Songkhla (only Hat Yai), and Surat Thani (only Ko Samui).

However, reactions to the wage increase have been mixed. While some argue that it’s a necessary step to ensure fair compensation for hotel employees, others express concerns over its potential ramifications.

Thanet Supornsahasrungsri, president of the Association of Chonburi Tourism Federation (ACTF), emphasized the challenges faced by the hotel industry amid the Covid-19 pandemic, criticizing the minimal government assistance provided. He questioned the alignment of the wage increase with actual employee earnings, pointing out additional income sources such as service charges.

Furthermore, worries have been raised about the impact on smaller hotels and secondary cities within the affected provinces. Reports suggest that employees from 3-star hotels are contemplating resigning to seek employment in higher-paying 4-star establishments. Critics also highlight the lack of clear criteria for distinguishing between 4-star and 5-star hotels, with only a single Thai hotel standard foundation responsible for evaluating hotel quality.

[Keithambrose]

3 hours ago, reader said:

From Pattaya Mail

Minimum wage hike sparks debate in Thailand’s hospitality sector

PATTAYA, Thailand – The recent decision by the 22^nd Wage Committee to increase the minimum wage to 400 baht per day for employees in 4-star hotels and above in ten provinces renowned for their tourism revenue has sparked debate within Thailand’s hotel sector.

Effective from April 13, the wage hike aims to establish fairer standards for workers in the hospitality industry, particularly in areas heavily reliant on tourism. The affected provinces include Bangkok (specifically the Pathum Wan and Wattana districts), Krabi (only Ao Nang sub-district), Chonburi (specifically Pattaya City), Chiang Mai Municipality, Prachuap Khiri Khan (only Hua Hin), Phang Nga (only Khuekkhak), Phuket, Rayong (only Ban Phe sub-district), Songkhla (only Hat Yai), and Surat Thani (only Ko Samui).

However, reactions to the wage increase have been mixed. While some argue that it’s a necessary step to ensure fair compensation for hotel employees, others express concerns over its potential ramifications.

Thanet Supornsahasrungsri, president of the Association of Chonburi Tourism Federation (ACTF), emphasized the challenges faced by the hotel industry amid the Covid-19 pandemic, criticizing the minimal government assistance provided. He questioned the alignment of the wage increase with actual employee earnings, pointing out additional income sources such as service charges.

Furthermore, worries have been raised about the impact on smaller hotels and secondary cities within the affected provinces. Reports suggest that employees from 3-star hotels are contemplating resigning to seek employment in higher-paying 4-star establishments. Critics also highlight the lack of clear criteria for distinguishing between 4-star and 5-star hotels, with only a single Thai hotel standard foundation responsible for evaluating hotel quality.

From a European perspective,  the wages are still very low!

[vinapu]

1 hour ago, Keithambrose said:

From a European perspective,  the wages are still very low!

True but so are prices.

[Keithambrose]

39 minutes ago, vinapu said:

True but so are prices.

There is still an inbalance, their minimum rate per day, is the same as ours per hour! Things are a bit cheaper, I know but not that cheap!

[vinapu]

43 minutes ago, Keithambrose said:

There is still an inbalance, their minimum rate per day, is the same as ours per hour! Things are a bit cheaper, I know but not that cheap!

all true but when making comparison keep in mind people making minimum level are mostly not in the market for the same goods more affluent locals or foreigners are.

When we feast on 128 baht chicken with cashew nuts in Foodland ,  they know plenty of places where the same  dish can be had for 50-60 if not less.  

[Keithambrose]

4 hours ago, vinapu said:

all true but when making comparison keep in mind people making minimum level are mostly not in the market for the same goods more affluent locals or foreigners are.

When we feast on 128 baht chicken with cashew nuts in Foodland ,  they know plenty of places where the same  dish can be had for 50-60 if not less.  

Understood, but not 7 times less?

[unicorn]

On 3/26/2024 at 5:58 AM, reader said:

...From Thai PBS World

Thailand’s Wage Committee decided today to increase minimum wages to 400 baht for employees working in 4-star hotels....

 

12 hours ago, reader said:

...The recent decision by the 22^nd Wage Committee to increase the minimum wage to 400 baht per day for employees in 4-star hotels and above ...

Yikes! Your first post was ambiguous. When I read that the wage was increasing to 400 Baht, I thought it meant per hour, which seemed generous enough for a 4* hotel employee (who, presumably, has to have certain proficiencies and a history of success at less luxurious hotels). I realize that costs of living are different, but I'm almost embarrassed to tell you that unskilled fast-food workers in California earn almost twice that per hour at a minimum! 😳

https://www.dir.ca.gov/dlse/Fast-Food-Minimum-Wage-FAQ.htm

Amazingly, despite this generous salary for unskilled workers, some fast food places still request "tips" despite the absence of waiters. I decline these requests.